ALGECO UK LIMITED
Company number: 00147207
Reporting period:
1 January 2026 to 30 June 2026
Report filed on:
29 July 2026
Approved by:
Mrs Michelle Rowell
Contracts and payments
Do any of this business's construction contracts with its suppliers include retention clauses? Yes
Payment statistics
Average time taken to pay invoices: 62 days
Total value paid:
- within 30 days: £29,637,942 (33%)
- in 31 to 60 days: £21,421,843 (24%)
- in 61 days or more: £39,776,381 (44%)
Invoices paid:
- within 30 days: 38%
- in 31 to 60 days: 23%
- in 61 days or more: 39%
Late and disputed:
- total value of payments due in the reporting period which have not been paid within the agreed period: £51,445,054
- payments due in the reporting period which have not been paid within the agreed period: 56%
- not made in the reporting period due to a dispute: 22%
Payment terms
Shortest standard payment periods
30 days
Longest standard payment period
90 days
Standard payment terms
Calendar month plus 30 or 60 days End of Month
Were there any changes to the standard payment terms in the reporting period?
No
Were suppliers notified or consulted about these changes before they were made?
N/A
Maximum contractual payment period agreed
90 days
No further comment provided
Any other information about payment terms
Our payment terms have been agreed with our suppliers and demonstrate our commitment to sustainable business practises. We pay in accordance with the agreed payment terms subject to normal trading queries and the timing of our payment runs.
Retention clauses
How does this business use retention clauses?
All construction contracts include retention clauses, and retention clauses are included in standard payment terms.
Does this business only use retention clauses in construction contracts above a specific contract sum?
No
Does this business use a standard percentage rate in retention clauses?
No
Does this business apply retention clause practices that are no more onerous than those applied to it on the same project?
Yes:
we apply s/c retentions in line with the head contract, between 3% and 5%
Releasing money under a retention clause
Process for releasing money this business has deducted or retained under a retention clause
Algeco construction contracts refer to retentions in two distinct stages - 1st half released after completion of the contract works and the 2nd half released after the end of the 12 month making good of defects period.
On completion of their works/clearance of their defects a subcontractor will apply for payment for their release of retention and they will be paid in line with the terms of their s/c payment conditions, i.e. payment notice issue in line with the act.
Is the money released in stages?
Yes:
As above - when works/defects are completed then subcontractors apply for and will receive retention release in line with their payment terms.
Amount retained from suppliers in the reporting period
Amount retained stated as a percentage of the money retained from this business by its clients
46%
Amount retained stated as a percentage of the total construction payments made by this business
2%
Dispute resolution process
Where a query on an invoice is identified, normally as a result of it differing to the purchase order or goods receipt note, this is referred back to the order originator with instruction to discuss and resolve the query with the supplier as soon as is practicable. Queries are profiled to be resolved in a timely manner. Targeted supplier statement reconciliations are carried out, by dedicated account managers, to ensure the completeness of the invoices we have received.
Other payment information
Has this business signed up to a code of conduct or standards on payment practices? If so, which?
For example, signatories to The Fair Payment Code must commit to paying 95% of their invoices within 60 days.
No, this business has not signed up to a code of conduct or standards on payment practices.
Does this business offer e-invoicing in relation to qualifying contracts?
This is where suppliers can electronically submit and track invoices. It's not just allowing suppliers to email them an invoice.
No
Does this business offer supply chain finance?
This is where a supplier who has submitted an invoice can be paid by a third-party finance provider earlier than the agreed payment date. The business would then pay the finance provider the invoiced sum.
No
Under its payment practices and policies, can this business deduct sums from payments under qualifying contracts as a charge for remaining on a supplier list?
No
During the reporting period, did the business deduct sums from payments as a charge for remaining on a supplier list?
No